July 10th News Curve Comparison Chart
According to SpotCom data: The average price of LLDPE (7042) on July 3 was 7,300 CNY/ton, and the average price on July 9 was 7,545 CNY/ton, an increase of 3.36%. The average price of LDPE (2426H) on July 3 was 9,150 CNY/ton, and the average price on July 9 was 9,950 CNY/ton, an increase of 8.74%. The average price of HDPE (5000S) on July 3 was 9,812 CNY/ton, and the average price on July 9 was 10,100 CNY/ton, an increase of 2.93%.
International crude oil has been fluctuating upwards due to geopolitical disturbances, providing bottom support for polyethylene and helping both the futures and spot prices of polyethylene in China to rise.
Multiple maintenance units have not yet fully restarted, coupled with delays in port arrivals, leading to a tight supply of spot goods in the market, and petrochemical companies have a strong intention to maintain prices. Currently, the industry inventory is maintained at a low level, with inventory pressure easing, providing stable support for prices.
Currently, it is the traditional low season for demand. The overall operation rates of agricultural films, pipes, and injection molding are low, and there is no concentrated restocking in the terminal market. Only packaging demand remains stable, and with some restocking at low raw material prices, demand has slightly recovered, supporting higher prices. However, downstream buyers are resistant to high prices and prefer to purchase as needed, leading to insufficient buying sustainability. This results in the later market being stagnant at high levels with limited room for further increases.
The short-term maintenance units have not yet fully resumed production, and low inventory levels coupled with crude oil cost support are providing a floor for prices. Petrochemical companies are strongly inclined to hold prices steady, making it difficult for prices to experience a deep correction. At the downstream end, demand is in the off-season, and consumers are reluctant to pay high prices, opting only for essential purchases on an as-needed basis, lacking sustained buying interest. Overall, polyethylene prices are expected to remain broadly stable within a narrow range, with insufficient momentum for significant one-sided price increases.
